Support The Moscow Times!

Anti-Monopoly Service Wants More Time on Bid for Imperial Energy

The Federal Anti-Monopoly Service said Wednesday that it needed more time to review ONGC's bid to buy Imperial Energy because it believed that the deal could limit competition.

"Interested parties have the right to present evidence of the effect on competition of the deals listed or other actions," the service said.

In late August, India's biggest oil producer agreed on a takeover of the midsized, London-listed Russian oil producer for $2.6 billion, but for the deal to go ahead it must have no strategic assets and it must then be approved by the anti-monopoly service.

Late last week, the Natural Resources and Environment Ministry said it had deemed Imperial nonstrategic, clearing the first hurdle and allowing it to be bought and fully developed by foreigners.

Investors have been closely following Imperial's two approvals as the Russian investment climate worsens and foreign capital floods out.

A source close to the deal dismissed? fears that the deal might not go ahead.

"This is a completely standard process and straightforward. Nothing has changed. Everyone continues to be focused on completing the deal as quickly as possible," the source said.

Under Russian law, the anti-monopoly service has 30 days from the day it receives a bid to reply to the bidder, but this can be extended if it needs additional information.

A source at the service said: "The deadline to make a decision on the deal is the end of December of this year. But of course, this could happen earlier."

Some industry insiders say the extension comes from a desire to put the pending deal on hold while India and Russia discuss energy cooperation on a much larger scale.

Sign up for our free weekly newsletter

Our weekly newsletter contains a hand-picked selection of news, features, analysis and more from The Moscow Times. You will receive it in your mailbox every Friday. Never miss the latest news from Russia. Preview
Subscribers agree to the Privacy Policy

A Message from The Moscow Times:

Dear readers,

We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."

These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.

We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.

By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.

Once
Monthly
Annual
Continue
paiment methods
Not ready to support today?
Remind me later.

Read more